43% of Female Angel Investors Eye Up Exits Next Year

By siobhan
Tuesday, 12th November 2019
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HBAN today reveals that 43% of female angel investors are eyeing up exits from their investee companies in the next 12 months.

The survey, carried out by HBAN amongst angel investors across the island of Ireland, found that some 83% of female angels are particularly interested in getting involved with start-ups working in the medtech industry. At the moment, 67% of female investors have investments in this sector.

Greater investment is also expected in other industries, with female angels showing increased interest in life sciences; cleantech and the environment; food and beverages; and agriculture.

HBAN’s research also found that 57% of female business angels plan to invest up to €50K in the next 12 months, while 29% expect to invest between €50K and €75K during the same period.

Almost three quarters (71%) of female investors expect to keep shares in investee companies for three to five years. On average, female angels say that when they do exit, they achieve a return of 2.5 times the investment.

The research also found that 83% of female investors consider the commitment and motivation of founders to be an important factor when making decisions around investment. Two thirds (67%), meanwhile, consider the management and leadership competence of the founders to be key.

Speaking about her experience as a female investor, Faye Walsh Droulliard, member of HBAN’s Bloom Equity syndicate, said: “I joined HBAN two years ago, having been part of a couple of female  investor networks for a number of years. So far, I have invested in seven companies and two syndicated funds. For me, it’s about making an impact and supporting social change via entrepreneurship, innovation and diverse funding models. Angel investment is one of the ways in which I can do this and I can’t stress how important it is for more women to become investors. As with anything – and as studies have shown – the more diversity there is in business, the more successful the outcomes and that applies to angel investing, too.”

Niamh Sterling, investment consultant, HBAN, said: “Female investors don’t just offer financial support; they bring in-depth knowledge and expertise, as well as a different perspective – and that’s invaluable for start-up organisations.

“Unfortunately, business angel investing is still a predominantly male environment, but it doesn’t have to be. As more and more women take on senior roles across all industries, they have so much knowledge they can share with entrepreneurs working in a similar space. It is not only rewarding for the women themselves, but it also benefits our start-up economy by giving business owners a more diverse range of viewpoints that will help them scale.”

HBAN is hosting an event to encourage and educate women about being more active as angel investors. The ‘Investing Together’ masterclass will take place at 5.30pm on Wednesday, November 20th 2019, in Mason Hayes & Curran, Barrow Street, Dublin 4. Aimed at investors, existing HBAN members and those interesting in becoming an investors, the event will explore the benefits of angel investment.

It will also include a panel discussion involving new and experienced investors who will be sharing their experiences with innovative start-ups, as well as the role of HBAN in identifying investment opportunities.

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